[EBCoin News]EBCoin, the only alternative to activate tourism worldwide
The EBCoin is currently trying to solve the formidable obstacles that tourists when shopping abroad. The biggest of these obstacles is the consumption tax. Theoretically, tourists can get the tax back according to the refund process, but due to the complex process and the high cost of the refund system, most travelers only get back some of their already paid taxes. The exchange fee is also a major contributor to this, not only the number of people who are going to travel, but also the amount of goods purchased by travelers is reduced.
Tourists will be able to get back most of the money they have paid for consumption taxes through a decentralized platform for tax refunds provided by the EBCoin ecosystem. Tourists can receive a new coin that can be converted into other fiats and digital currencies, which can be exchanged through a decentralized currency exchange platform to reduce currency exchange costs and further reduce tourism expenses. This makes international travel and shopping in South Korea, Japan, China and other countries much easier.
Troubleshoot problems with tax refunds
One of the most important factors in determining the amount of money spent by tourists visiting a foreign country is the tax of their visiting country. In countries with high consumption tax revenues, it represents a large part of the provincial and local government budgets. Especially in the case of European countries, consumption taxes occupy more than 15% of retail prices in these countries. This tax is usually accepted as legitimate for the people receiving the services directly by paying the consumption tax, but this consumption tax is unjust spending for foreign tourists. For this reason, many countries refund to foreign tourists the consumption tax they paid in their home country.
While the refund system can attract more tourists, the efficiency is in question. In short, the refund process is very difficult. In order for tourists to receive refunds, their purchases must be recorded and submitted to customs at the airport or other designated place. However, the queue for tax refunds is too long, because of the number of customs so low. Due to the complexity of filing the refund application and getting the exact refund amount, many tourists will give up the tax refund. As a result, about $ 24 billion in taxes are not refunded.
Even if tourists apply for refunds, they often do not receive the full amount they need to receive. The current refund system is extremely expensive owing to the fees up to 30% of the total amount refunded. On this account, tourists are reluctant to refund.
In order to simplify the refund process and to reduce the handling fee, the EBCoin developed an app to allow tourists to include all their relevant materials. Users scan their passports and put their passport information in their apps to verify their nationality and identity. The next, they can scan the receipts that they have purchased while traveling to create a reliable purchase history that allows them to calculate the total amount of consumption tax that they paid. The platform pays the user a refund in digital currency based on this data.
There is no intermediary to charge a fee for the tax refund. Because the EBCoin platform is highly decentralized. Nor do they have to take the complicated procedures of lining up at the airport or recording their purchases and to prove it. As a result, more users will apply for their legitimate refunds and receive the amount equivalent to the total amount of tax refunds. This will bring billions of dollars back into tourists’ pockets, encouraging them to purchase more goods while traveling in foreign countries.
Currency Exchange and EBCoin
In addition to the tax refund for users, the EBCoin platform also issues cryptocurrency, which is the EBCoin (EBC) and is backed by KRP, the Korean overseas payment gateway. They have more than 6,000 merchants in South Korea, Japan, China and other Eastern and Southeast Asian regions. Many of these merchants will start receiving the coin as prices of goods, tourists can use the EBCoin without paying local currency. Furthermore, the user can exchange the coin into local currency, the national currency, or other countries’ currencies and digital currencies through this EBCoin platform.
The EBCoin provides a decentralized method for self-coin and other currency exchanges in connection with the tax refund. As a result, brokerage commissions and other exchange fees are eliminated, which reduces spending on foreign tourism and shopping. Moreover, through the issuance of its own currency, the EBCoin users can receive a standard for measuring the value of other currencies, thereby easily be confirming whether or not a legitimate exchange is being made.